Legal Question in Credit and Debt Law in New York

Collections Statute of Limitations?
My year 2000 New York state tax refund had been
withheld by a collection agency recently. They told me
that I owed the City College $480 in 1989 and it
accumulates to $1100 now with compounding interest. They told me that they have sent the statement to me numerous times along with a summons to my old address. I think itis unfair for me to settle this payment, particularlyon the interest portion, since this thing was brought to my attention only recently. I was wondering what is the statute of limitation in this regard? Do they have the right to claim for payment after such long period?

Asked on 5/31/01, 1:40 pm

Garry Hanlon

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Re: Collections Statute of Limitations?

There is a 6 yr statute of limitations to

commence a lawsuit on this type of debt

If one is commenced and you did not receive

notice, you have only 1 yr to open up the

default

Once a judgment is entered, the judgment

creditor (in this case, the College) now has

twenty years to collect

Interest on a judgment accumulates at the

rate of 9% per year Argue for simple interest

not compound

Answered on 7/09/01, 2:53 am

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